Committee to assess electricity theft, distribution losses and operational inefficiencies across Pakistan’s power distribution companies.
The government has decided to conduct a comprehensive technical audit of all electricity distribution companies (DISCOs) to assess the scale and causes of power theft, distribution losses and operational inefficiencies.
The decision was taken at a meeting of the committee constituted under the Prime Minister’s directive on inefficiencies and electricity theft in DISCOs. The meeting was co-chaired by Federal Minister for Economic Affairs and Establishment Division Senator Ahad Cheema and Federal Minister for Power Sardar Awais Ahmad Khan Leghari.
Technical Audit to Assess Power Losses
The committee received detailed briefings from the Power Division, National Electric Power Regulatory Authority (NEPRA), Ministry of Information Technology and Telecommunication, Pakistan Digital Authority and other relevant institutions.
The briefings covered electricity theft, distribution losses, recoveries and technology-based interventions across the power sector.
Following deliberations, the committee decided that the technical audit would determine the actual scale, causes and geographical concentration of electricity theft, alongside technical and commercial losses across DISCOs.
The Ministry of Information Technology and Telecommunication has been tasked with providing technological assistance and facilitating the audit through a transparent and credible mechanism.
An Expression of Interest will be issued shortly to engage qualified technical experts, while the Terms of Reference for the audit are expected to be finalised by next week.
Government Rules Out Burdening Consumers
Senator Ahad Cheema said the audit must provide a detailed diagnostic assessment of the underlying causes of electricity theft and distribution losses and produce credible and actionable findings.
He said the government remained focused on reducing electricity theft and would not shift the burden of theft or inefficiencies in the distribution system onto consumers.
Cheema also said overbilling was unacceptable and that the audit findings would help the government introduce targeted measures based on evidence.
He added that the government would take steps to prevent a further increase in circular debt.
Solarisation Projects in High-Loss Areas
Power Minister Awais Leghari said the Power Division was aligned with the committee’s objectives and was working to control electricity theft and losses, particularly in DISCOs with high levels of theft.
The committee was also briefed on incentive-based solarisation pilot projects in areas served by PESCO and QESCO, where electricity theft and distribution losses remain significant.
The initiative aims to provide solar energy solutions that could reduce pressure on the electricity network while addressing persistent theft and line-loss challenges.
The committee also reviewed technology-based measures and stressed the use of digital tools and reliable data to identify irregularities, strengthen monitoring and improve accountability across the distribution network.
DISCO Recoveries Show Improvement
The co-chairs reviewed progress in addressing overbilling and warned that DISCOs would not be allowed to conceal theft, losses or operational inefficiencies through excessive billing.
The committee emphasised that consumers should not bear the cost of weaknesses within the distribution system.
It also reviewed the recovery performance of DISCOs and expressed satisfaction with improvements recorded during the current year.
The co-chairs called for the momentum to be maintained through improved governance, stronger monitoring, technology-driven reforms and targeted action in areas with high electricity losses.